Subway sandwich shop chain sold for $9.55 billion to Dunkin’, Cheesecake Factory owner

MIAMI, Aug. 24, 2023 — Subway today announced that it has entered into a definitive agreement to be acquired by affiliates of Roark Capital. The transaction is a major milestone in Subway’s multi-year transformation journey, combining Subway’s global presence and brand strength with Roark’s deep expertise in restaurant and franchise business models.

Roark is a private equity firm with $37 billion in assets under management. Roark focuses on investments in consumer and business service companies, with a specialization in franchise and franchise-like businesses, and prides itself on being a trusted partner for management and business owners.

Roark owns several well-known restaurant chains including Dunkin’, Arby’s, Buffalo Wild Wings, Sonic, Baskin Robbins, Carvel, Cinnabon, and the Cheesecake Factory.

“This transaction reflects Subway’s long-term growth potential, and the substantial value of our brand and our franchisees around the world,” said John Chidsey, CEO of Subway. “Subway has a bright future with Roark, and we are committed to continuing to focus on a win-win-win approach for our franchisees, our guests and our employees.”

The transaction comes on the heels of Subway announcing its 10th consecutive quarter of positive same store sales.

Subway did not release how much the chain was acquired for; however, multiple reports have stated the figure is $9.55 billion.

The chain has recently announced new sandwiches and updated its menu.

J.P. Morgan is serving as financial advisor and Sullivan & Cromwell LLP is serving as legal counsel to Subway. Timing is subject to regulatory approvals and customary closing conditions.